Tried it myself. Very Very cool!
Screenshot Tour: Repartition your hard drive in Windows Vista
Move over, Partition Magic. Windows Vista has built-in hard drive partition management with the ability to shrink, create and format new partitions without the dreaded fdisk, third-party software, or even rebooting your PC.
With a few clicks through a wizard or two you can take free space on your hard drive and make it a whole ‘nother partition right inside Vista to store your data or turn on file encryption (more on that later). Check out a quick step by step on partition management inside Vista. — Gina Trapani
Click through this gallery starting at the last image and clicking previous. Sorry about that, folks…
Repartition your hard drive in Vista
Source: Screenshot Tour: Repartition your hard drive in Windows Vista – Lifehacker
